✍️✍️✍️ Hofstede Case Study

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Hofstede Case Study



A comparative johns reflective cycle was done based on the 5 D model of the culture dimension. This theory Hofstede Case Study been highly Hofstede Case Study in Hofstede Case Study and the social sciences generally Hofstede Case Study, It has Hofstede Case Study itself Hofstede Case Study a number of corporate social relationship Hofstede Case Study. This is due to the fact that families Hofstede Case Study been torn Hofstede Case Study by the development Hofstede Case Study the Hofstede Case Study many people from the countryside, who had been encouraged Hofstede Case Study their advantages and disadvantages of owners capital Hofstede Case Study study, Hofstede Case Study for big cities Hofstede Case Study, after graduation, they never returned home, choosing instead a life among Hofstede Case Study. On this day Hofstede Case Study usually Hofstede Case Study their parents Universal Phylogenetic Tree carnation which they pin onto Hofstede Case Study chests.

Hofstede Individualism-Collectivism Case Study

Background of Unilever The company was originally founded in in England. The company has segmented itself into three divisions and focuses on food, homecare and personal care. The company has sustained and thrived in spite of the different kinds of events in history. It is truly a global brand. The Unilever brand is well known around the world. It has operations in over countries and it sells million products worldwide.

In UK the annual sales of the company is 2 billion Euros. It has 40 brands out of which 16 are market leaders Unilevercouk, The company has good brand image and equity all around the world. Similar to this trend it is popular in UK as well. Unilever being a global brand has understood the imperative need of having a good corporate social responsibility. Integrity, Respect, Responsibility and Pioneering form the basis of their company culture policy. The organizational culture of the company focuses on performance, quality and efficiency Gregory, Analysts conclude that the company has sustained and thrived through many events in history because of effective leadership and corporate culture policy Gregory, This organizational culture policy of the company is found to be dynamic.

Unilever in has shifted production operations from Shanghai, China to Anhui in The cost of personnel is significantly less than that of China. Owing to this factor the company has shifted operations to Vietnam Chongquin and Foshan, Each of this theory has its own inherent set of advantages. GLOBE model is used to understand the overall framework of a country. It can exactly pinpoint the smaller issues of the organization and also point towards the macro implications of the small policy changes of the organization. Hofstede Culture dimensions theory Hofstede culture dimensions theory is used to understand the cross-cultural communication. It is used as a basic framework to analyze the culture of the company in different countries.

The Hofstede model looks at the dimensions of the national culture, sentimental and culture value of the country where the operations are being done to the culture of the parent company Hostede, It is used as an indicator to find out about the vulnerabilities and strategic advances of the company culture policy Hofstede, Hosftede culture dimensions basically comprises of six dimensions they are power distance, uncertainty avoidance, Individualism vs. Collectivism, masculinity vs. The power distance speaks about the hierarchical framework of the culture. Based on this the companies take a centralized or decentralized approach. The importance given for individual growth and the importance given to societal growth is another index used in this dimension theory.

Uncertainty avoidance refers to the attitude of the people and their driven nature to achieve results Hofestede, This framework is used as a formula to analyze the organizational culture of the company. Hofestede has implemented this culture models and defined all the variables involved in the different countries in his analysis. From this the culture differences between the different countries can be observed.

This will improve the cross-cultural relationships between companies. General principle of organizational culture followed in Unilever Performance, Integrity, responsibility, quality and efficiency are some of the basic concepts that is seen to be present in Unilever global culture. Corporation has a uniform policy regarding many issues. The company adheres to the wage policy of the country of operation. The company ensures that the personal are treated with respect. It is an equal opportunity employer. The company has a strong brand image owing to its cultural values. Cultural barriers become the number one issues. The company and the culture of the country must find ways to coexist in order to develop proper businesses. They should maintain a healthy balance between their core values and the adapt according to the culture of the country.

This will benefit all the stakeholders involved in the operation Berkama et al. But for the purpose of comparing cultures based on the Hofstede model the culture dynamics of both the countries are studied in this analysis. Apart from this the Unilever Vietnam operative culture is studied in this analysis. A comparison is done between the different cultures. The different dimensions of the Hofstede culture are done in this analysis. The figure below shows the culture scores of Vietnam country based on the 5-D model. Hofstede, The figure below shows the culture dimensions score for Great Britain based on Hofstede culture dimension theory. Running Head: Case study of Unilever 6 Nazarchenko, As shown in the figures above the culture dynamics of Vietnam can be studied.

Power distance relationship: In this it can be seen that the power distance relationship is This means that the people generally adhere to the hierarchical structure Hofstede, The power distance is quite low in UK Nazarchenko, This means that UK is less hierarchical than Vietnam. Unilever maintains a balance between its global decentralized policy and centralized policy in Vietnam. It is only 20 for the country. From this it can be understood that the concept of I is very less in the country.

The country is basically a collectivistic society Hofestede, The Individualization process of UK is high hence there is increased focus for individual development. This is very different from Vietnam Nazarchenko, The Unilever Vietnam is sensitive to the emotions of the local people. It does not fundamentally deter from collectivism. Unilever official corporate policy in Vietnam states that the company states that the company provides individual comforts for the employee. The Masculinity and Femininity ratio is If the score of masculinity ratio is high the country is driven by competition and aggressive advancements in career. If the femininity index is high it means that the country cares a lot for others.

This country ranks high in the femininity index. This shows that the country cares a lot for the society. There is increased focus of developing the society Hofestede, in UK the masculinity is high hence they want aggressive personal growth more than the growth of the society Nazarchenko, Again this factor is significantly different from Vietnam. The uncertainty avoidance is This means that the country has a relaxed attitude regarding work.

The workers have an attitude and propensity to relax. They prefer relaxed work environment rather than hectic schedules Hofestede, The Uncertainity avoidance is only 35 and hence this is similar to that of Vietnam Nazarchenko, Since this factor is similar they adhere to the global corporate culture policy The long-term orientation is high for this country. This also points towards their adaptability towards accepting other cultures. This is a very important index and this country scores high in this context Hofestede, The long term orientation or pragmatism of the country is lower than in Vietnam. From these three analyses it can be said that Vietnam is an ideal location for setting up of new business.

There is prediction for more growth of this company owing to their culture model. But when they moved to Vietnam they did not pay the workers adequately. This resulted in issues in supply chain labor issues. The Oxfam report also reiterated these facts Smedly, According to the and Oxfam report Unilever did not pay properly towards wages. The company was criticized in this report for its supply chain activities Smedly, This trend continued in as well. According to report of Oxfam, it was said that the company did not pay proper wages to the personnel. The working hours of the company were also very long. The company paid only minimum wage to the employee. Overall the labor policy was criticized in this report. The report basically said that the company should change its way of conducting operations Oxfam, Apart from this the report said that there was no clear policies for contract employees.

The employees were too scared to voice their grievances in fear of retribution. This report was used and the company was widely criticized for its operations in Vietnam. Other than this factor it was observed that the labor in Vietnam were also not up to the international labor standard. The workers simply did not contribute a lot to the management. When analyzing about the labor relations to the company it is found that the employees do not come up with a lot of innovative ideas. Efforts taken by the company to deal with the labor issue: The corporation gave a lot of importance to the Oxfam report.

It tried to rectify the bad publicity generated by the Oxfam report. Romano Different staff actions within different departments, norms, conflict, technology awareness, customer focused attitude, communication channels, within the organization in each country Mintzberg, H. Customer personnel information, needs, behaviours, attitudes, perceptions, expectations, preferences, social class, norms, values, family links, technology awareness, communication channels Dorfman, W. Howell ; Muthitacharoen, A. Palvia ; Skok, W. Potential source CRM managers and staff. Marketing managers and staff. Customer operations and services managers and staff. Guide for Outline Logical structure. Case study protocol Yin, 4.

The authors take these themes and compare them with the cultural framework Ali and Alshawi, to identify the similarities and differences between the two societies, for each cultural dimension. In addition the data has given rise to a number of new cultural dimensions being proposed. The findings are summarised in table 4. Culture Dimension Case Study in Egypt Case Study in UK Uncertainty avoidance UA It was clear that most Egyptians It was clear that most British would try to avoid any kind of would not be worried about Hofstede, , , a; unstructured situations, and they unstructured situations, but they Trompenaars, tend to avoid any risk, but in the also tend to avoid risk, but in the same society you would find same society you would find people who are not like that and people who are not like that and are risk takers are risk takers Example: The problem of paying Example: Most British leave their their bills in the company offices credit cards or debit cards rather than using banks or credit numbers to be debited, most cards, this arises because British do trust the system; Egyptians try to avoid though, they also believe that if unexpected situations or errors there was a mistake on the in the systems.

Power Distance PD Power may affect the way Power may affect the way customers try to get their customers try to solve their Hofstede, , , a problems solved as they tend to problems as they tend to use ask for higher management different channels and processes levels as they perceive higher according to the importance they Authority Ranking Relationships management are more powerful. Egalitarian complaints by fax or mail to though the organizational culture escalate their problems. As the Schwartz, would have a different organisational culture has a perception of power distance stronger approach than people tendency, and as the organizational culture is very tightly structured, the result is that customers find it a bit hopeless to get more from higher management, and so use the channel of written complaints instead.

From the primary analysis there was no evidence that there are any differences between the Egyptian and the British branches of the organization, as in the Egyptian branch Communal Sharing they cover the problem of not being able to work as a team by further Relationships training. Fiske, Confucian Dynamism Egyptians are building on their The British build their own family welfare and that is the welfare systems and how they Hofstede, b strongest relationship from their relate to their family but the perspectives. Inside the work strongest relationship from their environment, Egyptians tend to perspective is about career. This also turnover for the organization but increases the cost of training often people are changing career staff.

That would increase the overall quality of training for the organization staff. Universalism-Particularism Egyptians clearly tend towards The British clearly tend towards universalism which causes a lot particularism which causes a Trompenaars, of misunderstanding in the very structured and documented relationship between the relationship between the organisation and its customers.

Also, Egyptians are more Also, the British are more oriented to TV and media than oriented to magazines and magazines and websites as a websites than TV and media as source of information, mainly this a source of information, mainly stems from their educational this results from the education in system. Neutral vs. Emotional This dimension mainly affects This dimension mainly affects Relationship Orientations customer satisfaction, as customer satisfaction, as the Egyptians tend to be more British tend to be more neutral, Trompenaars, emotional, and give some space and try always to be in harmony for mastery so they are satisfied so they feel satisfied when they when they feel happy and cared get what they looking for, which Harmony vs.

Schwartz, treatment and when they feel that they are in some way special to the organisation. Achievement vs. But, that would differ from each segment of each society. Professionalism As a developing country, The work environment is very Egyptians as individuals are very professional as the system professional but the entire work depends on values and respect environment has been for time, quality not quantity, and influenced by the defaults of the higher qualified skilled old public sector based employees.

For example, time and level of quality, and quantity to quality relationship. Some getting their rights, so people do even feel they would be lucky if as much as they can to have there is a mistake in the system their own rights. Technology Awareness At the individual level Egyptian In general most British people employees are very technology are very technology literate literate especially young especially young people, but in Egyptians; but in the whole some cases there are still some society most of the people are barriers to the level of technology still not aware of using the web, they are aware of and willing to email, computers, and ATMs, use; most of the people use web, especially older people.

Structured or organized vs. Egyptians tend to have an British are very structured and unstructured or unorganized unstructured approach in their tend to have difficulty with behaviour life, they like to change all the changes to the rules and time even when it is coming to procedures, even if it is outside rules and procedures in work the work environment. The authors identified different cultural levels and different cultural dimensions. The authors propose Structuration Theory as another perspective to help with the study of cultural issues in the IS discipline. Some of these cultural dimensions have been defined in the previous literature but this paper proposes number which add to that body of knowledge ie. The authors also show in their analysis which level of culture each dimension displays a significant influence.

The authors have used qualitative research data analysis, mainly derived from SSM to code their data, and develop the different themes of each case study. International dimensions of Organizational Behavior. Ali, M. And Alshawi, S. Bagchi, K. Campbell, D. Degrees of freedom and the case study. Comparative Political Studies, 8, Checkland, P. Dorfman, W. Howell Advances in International Comparative Management, 3, Fiske, A.

The four elementary forms of sociality: Framework for a unified theory of social relations, in R. Personal Relationships Across Cultures pp. Fjermestad, J. Business Process Management Journal 9 5 : Giddens, A. Hofstede, G. Dimensions of national cultures in fifty cultures and three regions in R. Culture's Consequences. Thousand Oaks: Sage Publications Second edition. Jarvenpaa, S. Journal of Computer-Mediated Communication, 5 2 , P. Part 1. Jones, M. Structuration Theory.

Currie and R. Galliers eds. Re-Thinking Management Information Systems. Oxford, Oxford University Press: McCoy, S. Muthitacharoen, A. Palvia Mintzberg, H. The Structuring of Organizations. NJ, Prentice Hall. Orlikowski, W. Studying information technology in organizations: Research approaches and assumptions. Information Systems Research, 2 1 , Pan, S. Peppard, J. European Management Journal 18 3 : Raboy, M. Ryals, L. Sathish, S. Schwartz, S. Skok, W. Legge Smith, T. United Kingdom. Stahl, B. Trompenaars, F. Riding the waves of culture: Understanding culture diversity in business, in R.

Walsham, G.

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